Friday, June 19, 2009

The Impact of O'Malleynomics

Governor's Martin O'Malley's seemingly neverending quest to destroy Maryland's middle and working class families looks like it is right on schedule:

Unemployment in Maryland climbed to 7.2 percent in May, a more than 25-year-high, as joblessness rose in nearly all states, preliminary government statistics show.

Compared with a year earlier, unemployment rose in every state last month, including Maryland, where the rate has jumped from 4.1 percent in May 2008, the U.S. Department of Labor reported Friday.

Maryland's unemployment rate has not been 7.2 percent or higher since July 1983, Bureau of Labor Statistics data shows.

During the 12 months through May, Maryland lost more than 64,000 jobs, not adjusted for seasonal changes, preliminary government numbers show.
Of course, as we have noted here time and time again, this is what happens when you enact the economic policies that Governor O'Malley and his Democratic cronies have been pushing for the last three years. When you continue to raise taxes, when you continue to inflate spending to unmanageable levels, and when you continue to make it harder and harder for business to compete, middle and working class workers and their families pay the consequences. Jobs are lost. Businesses are shuttered. Tax revenues plummet. And the economy is destroyed.

I hope Governor O'Malley can sleep well knowing that he put the expansion of government and his own political self interest ahead of average Marylanders by adopting such reckless fiscal policies. O'Malley has cost a lot of people their jobs and a lot of people their livelihoods, and I hope that these people who have been negatively impacted by the Governor's incompetence remember the toll these policies have taken on them and their families...

(Crossposted)

1 comment:

Bruce said...

Proves nothing. Seriously. We don't know that the policies of higher taxes didn't make it less bad than it would have been. It's macroeconomic forces that killed the income tax revenue, not some Lafferite curve moving all of Maryland to tax havens like Mississippi. Put another way, the Laffer curve has two sides and minor tax increases of 1 percent or less in state taxes are on the far left side of that curve.

If minor changes in taxes had the macroeconomic effects that you claim, Brooklyn would move to New Hampshire or Mississippi, and Montgomery County would be shrinking, not growing. The marginal elasticity of gross state product and revenue as against tax rates is very low.

And really, when you claim that the governor is on a "quest" to destroy anybody other than Peter Franchot, your rhetoric winds up leading you by the leash.

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